Document Type : Research Note
Authors
1
Faculty of Social Sciences & Economics Azzahra Univer
2
Faculty of Social Sciences\nAllamehTabatabaie
3
Dept. of Economics Azad University, Firoozkooh Br&z
4
Transportation Research Institute\nIran Minis&
Abstract
To scientists of the natural sciences, in general, and to those of the environmental sciences, in particular, pollution is waste, resulted from economic activities and disposed into the environment. In other words, pollution is the result of an incomplete production/consumption process, wherein production elements are made into a product. Pollution can be divided into two main groups, namely flow pollution and stock pollution. Flow pollution occurs when the damage (loss) is related to the amount of emission. In other words, emission of the pollutants into the environment happens with the passage of time. In this kind of pollution, if the flow stops, the related costs tend to zero immediately. The damage (loss) of this kind of pollution at any time depends on its present rate of emission. In stock pollution, the damage (loss) is a function of the amount of pollutants stocked in the environmental system at any time. The loss (damage) due to the pollutants stocked in the environment is more than that of those in nature.The transportation sector, being a main consumer of fossil fuels, plays a basic role in the emission of environmental pollutants. In the process of giving service, this sector creates undesirable outputs (environmental pollutants), in addition to desirable ones (cargo and passenger transfer). Considering the Pigo theory, which says that every polluter should pay the cost of his polluting behavior, and also the scarcity of appropriate analytical methods for the purpose of environmental policy making, an effort has been made, in this paper, to estimate shadow prices or final external costs of environmental pollutants created by fossil fuel consumption in the transportation sector. Results have revealed that the shadow prices of environmental pollutants per liter of consumed gas or gasoil, are 1039 and 1075 Rials, respectively. Therefore, based on Pigos theory (a polluter should pay for his pollution), it is suggested that the compensation taken from the polluter be based on the shadow prices estimated in the present research, so that it can offset the damage (loss). In this study, the shadow price of all environmental pollutants caused by gas and gasoil consumed in the transportation sector has been estimated as a whole. Therefore, it is suggested that these pollutants shadow prices be calculated separately (in other research), so that a comparison between them becomes possible.
Keywords
)